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Programme Insights

8. Effective Co-operation
A new role for cotton producer co-ops in Mali

Oumar Traor, a co-operative promoter from Zangena, Fana region during a co-operative discussion, part of Oxfams Programme: Empowering Producers to Secure Livelihoods in Cotton Growing Regions in Mali and West Africa Aboubacar Traore/Oxfam

Falling prices and increased privatization had left small-scale cotton producers in Mali facing an uncertain future. In particular, the role of the state-owned cotton company, on which farmers depended for essential services such as inputs and training, had been greatly diminished. In response, a new initiative involving a coalition of partners has helped to build the capacity of producers co-operatives to provide services to their own members. It has also helped them to build sustainable partnerships with lending institutions and has increased the participation of women farmers in the running of cotton co-ops. It is now hoped that the programme can be rolled out to the whole of Malis cotton sector.

Introduction
Malis cotton production grew from 500,000 tonnes a year in 1997 to a record 635,000 tonnes in 2003, making it the largest cotton producer in Africa at that time.1 Several hundred thousand people living on 200,000 family farms some 40 per cent of the rural population2 depend directly for their livelihoods on cotton production, which often accounts for up to 75 per cent of their cash income.3 More than 73 per cent of Malis cotton farmers live below the poverty line of CFA francs (FCFA) 153,310 ($321).4 Over 150,000 square kilometres of land in the south of the country are planted with cotton.5 Typically, the crop is grown on small plots of 23 hectares in size, along with cereals and the rearing of livestock, using basic ox plough technology and mainly family labour. In Mali, cotton is a rain-fed crop planted in MayJune and harvested from September to December. Cotton prices are set before the growing season; after harvest, the seed cotton is collected by trucks and delivered to the ginning factories of parastatal cotton company Compagnie Malienne pour le Dveloppement des Fibres Textiles (CMDT).6 The main output of the ginning process is cotton fibre, of which CMDT sells more than 95 per cent onto the world market.7 Cotton fibre exports account for 25 per cent of Malis total export revenues, while cotton production accounts for 8 per cent of national GDP. However, less than 5 per cent of the raw fibre product is processed locally. Malis economy among the poorest in the world is thus extremely vulnerable to external price shocks and fluctuations in world cotton prices. Through cotton production, smallholders have been able to access credit, fertilizers, and other inputs. Alongside cotton, they have increased their production of livestock and cereals, particularly maize, and have invested in wells, schools, and health facilities. However, in some parts of Malis cotton basin, soil fertility is in decline, population pressure is rising, and little quality land is available factors that have affected yields and prompted migration to more productive areas or to towns. Prices for conventional cotton on world markets have been volatile and in decline, partly due to the impact of trade-distorting subsidies paid by industrialized and emerging countries to their cotton farmers.8 For three decades, Malis cotton sector had an efficient and coherent structure for the provision of services to smallholders (from the 1960s to the 1990s), but it has been hit by restructuring and by the withdrawal of state support, as well as by repeated crises linked to cotton trading conditions. A boycott of cotton production in Mali in 2000 was a reaction to falling world market prices due to subsidized production in richer countries. Mismanagement at CMDT

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exacerbated the situation, and the state was left to cover a large budgetary deficit in the sector. In 2005 the government adopted a new pricing mechanism indexed to world market prices, and CMDT began to withdraw from larger rural development projects to focus more on cotton production. However, implementation of the new mechanism led to worsening conditions for cotton producers. To date, the major constraint faced by the sector has been exchange rate losses against the euro and the US dollar. These repeated crises led to a government review of how agricultural services were provided, including access to credit for small-scale cotton producers, as part of a wider restructuring of the sector. Until the late 1990s, CMDT provided extension services that promoted increased organization, literacy, and production skills amongst small farmers, as well as developing rural infrastructure and providing rural employment. It provided training and extension services for cotton production and marketing as part of an integrated cotton system, with all the costs borne within the cotton sector itself. Access to services such as credit and input supplies (both for cotton and for other types of agriculture) was guaranteed by cotton cultivation as part of a vertically integrated value chain. CMDTs extension system was based on a network of agents working with villages grouped into Rural Promotion and Extension Zones (ZAER) and answering to a district head; the district head led a multidisciplinary team that included agricultural statisticians, logistics staff, promoters for women farmers, animal husbandry advisers, and others.9 In all, CMDT agents had regular contact with nearly 200,000 small producers, an arrangement corresponding roughly to one agent for every 130 producers.10 However, structural adjustment negotiations between Malis government and the World Bank led to the introduction in 2001 of the Cotton Sector Development Policy (Lettre de Politique de Dveloppement du Secteur Coton-LPDSC), which stipulated the downsizing of the CMDT and proposed plan for its privatization. The policy also called for liberalization of seed cotton and cottonseed oil markets, as well as an increased role for producer organizations (POs) in the management of the sector. In response, as part of a restructuring of its agricultural extension services, the government introduced initiatives combining free services (a classic model of producer training and extension services provided with no recovery of costs from beneficiaries) and a co-financing system (testing a model with partial recovery of costs). Both these models, however, have shown limitations in terms of efficiency, sustainability, and scale, with benefits for producers falling short of what was anticipated.

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Privatization, combined with these other factors, has had a serious impact on cotton production in Mali in recent years. From being the largest cotton producer in sub-Saharan Africa in 2006, it fell to fourth largest in 2008. Cottons proportion of the countrys exports declined from 25 per cent to 14 per cent over the same period, while Malis share of the world cotton market shrank from 3 per cent to 1 per cent. Producers meanwhile saw their income from cotton fall by up to 65 per cent.11

Privatization and the changing role of producers


Malis government has traditionally been heavily involved in the cotton sector through its major shareholding in CMDT, providing farmers with subsidized inputs and covering a significant overall deficit in the sector. However, since privatization and the partial liberalization of the sector began in 2001, the companys role has decreased. Input subsidies stopped in 200203 and the scope for price support was drastically reduced by the new price mechanism introduced in 2005. As part of the reform process, village-level POs (village associations) were expected to assume a new status as formal co-operatives and to take on new functions. The 2001 Co-operative Law laid the legal basis for this change in their role, turning village co-operatives into economic enterprises and permitting them to engage in business activities, guarantee loans from financial institutions, offer advisory services to producers, and supply members with agricultural equipment and inputs. These POs are now known as Socits Coopratives de Producteurs de Coton (SCPC Co-operative Societies of Cotton Producers). Since 2005 the sector has seen the formation of 7,177 SCPCs, compared with 4,400 village associations in 2004. However, while operating at village level, the SCPCs do not necessarily involve all the producers of a given village. Some major initiatives have been launched to support producer groups. For example, from 2001 to 2004, the World Bank-led Programme of Support for Agricultural Services and Producer Organizations (PASAOP)12 spent FCFA 947m on demand-led training tailored to the specific needs of producers. This provided training for 10,000 members/leaders of POs, as well as supporting technical training events and advice services nationally.13 Similarly, the Support Project for Cotton Zone Production Systems14 had a budget of more than FCFA 500m over three years, and provided direct support in the form of vocational education to all 7,177 POs. However, both these initiatives lapsed due to a lack of financing. Others succumbed for the same reason, or because the results they achieved did not justify their continuation. Failed initiatives included the first Centre of Service Provision, financed in large part by the cotton marketing system under a project run by the French

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Development Agency (Agence Franaise de Dveloppement, or AFD), and the Union of Rural Management Centres network (Union des Centres de Gestion Rurale).

Oxfams support for producer organizations


In response to this situation of lost support for the newly created coops, Oxfam America and Oxfam GB developed a five-year Programme: Empowering Producers to Secure Livelihoods in Cotton Growing Regions in Mali and West Africa for cotton producers for the period 200711. The programme focused on livelihoods support in the southern cotton-producing regions of Sikasso and Koulikoro in its first two years, extending to other regions from 2009. It initially targeted 25,000 members of primary producer co-operatives for direct production support or capacitybuilding activities. Approximately 8,250 of these are producers of organic and fair trade cotton in Sikasso (districts of Yanfolila, Bougouni, Kolondieba, and Garalo) and in the zone covered by the OHVN (Office de la Haute Valle du Niger a parastatal rural development agency) in Koulikoro. In particular, the programmes goal is to reduce small farmers dependence on cotton in gaining access to essential services. Oxfams analysis showed that POs were being forced to take on new functions such as the supply of inputs, the negotiation of loans, and the provision of technical advice to members without necessarily being prepared and able to do this. Producer groups were also obliged to conform to the conditions of the national Co-operative Law, often without a proper understanding of them. Oxfam conducted a stakeholder analysis at national and sub-regional levels that identified a number of potential partners, including Malian cotton producers organizations and international NGOs. At the national level, Oxfam chose to work with the Association of Professional Farmer Organizations of Mali (AOPP),15 which receives technical support from SNV of the Netherlands16 for conventional cotton production, and the Malian Organic Movement (MoBioM),17 which is supported by the Swiss NGO Helvetas.18 At the sub-regional level, Oxfam partnered with the Association of African Cotton Producers (AProCA),19 which receives technical support from ENDA Prospective Dialogues Politiques, a Southern NGO based in Senegal.20 Drawing on the experience and knowledge of these partners, Oxfam designed a seven-stage intervention strategy aimed at strengthening the capacity of POs as service providers and supporting their development as sustainable rural enterprises. In contrast with traditional agricultural extension models and with other programmes designed for the cotton sector, Oxfams programme set out to provide advice aimed specifically at developing entrepreneurial performance,

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and was based on specific needs identified by co-operative members by means of self-evaluation. The programme also explicitly recognized the need for cotton farmers to diversify into other activities, for example engaging in Organic Fair Trade and Better Cotton Initiative markets, and the need for finance to support this, as well as ensuring that the remaining co-operatives producing conventional cotton were able to reach non-traditional markets. Also apparent was the need for innovative means to empower women farmers within the existing co-operative framework, where they were largely marginalized. An essential aspect of the programme was that it would be owned by the POs themselves, who would be directly involved in managing it.
Box 1. Women demonstrating leadership

Awa Boire was the first woman vice-president of the Badjbougou cooperative. With the co-op renewed its board in 2009, women who were literate and who often had a stronger knowledge of the Co-operative Law than men stepped up to take on influential positions. Awa was elected as vice-president, along with nine other women who gained positions including treasurer and members responsible for organization, conflict, foreign relations, and provisioning. There are now ten women on the board of directors, accounting for half of its membership. Awa was herself able to read the Gender Equity Declaration of the Malian co-operative movement in Bambara, without any help, on 8 March 2010, International Womens Day. However, the Badjbougou co-op chose this day to challenge Wacoros communal authorities to show more commitment to and investment in adult literacy and other local needs in the communal Plan for Economic, Social and Cultural Development (PDESC). Based on their needs, women co-op members sent 15 credit applications for the purchase of farm equipment under the development 21 plan to the micro-finance institution Kafo Jiginew. Women sent more project files than men, due to their strong presence in the co-ops decisionmaking bodies.

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The national producers associations were the logical starting point in addressing the changing role of producer groups. These bodies found themselves filling the institutional void left by the withdrawal of CMDT, as POs attempted to supply services to members without first having their own capacities strengthened. The different organizations had different areas of expertise but, between them, they constituted a strong network. Analysis conducted with them focused on how best to reach a large number of POs of different types; how to strengthen POs capacities to support cotton producers and improve their livelihoods; and how to ensure the long-term sustainability of the intervention. The Programme Empowering Producers to Secure Livelihoods in Cotton Growing Regions in Mali and West Africa has had tangible results. From 2007/08 up to the projects mid-term evaluation in 2009/10, average income per producer increased from FCFA 122,935 to FCFA 146,175. With support from MoBioM, organic cotton production increased on average from 300kg per hectare in 2007 to 407kg per hectare in 2009/10. There has been a significant increase in womens participation in co-operatives. In first-generation cooperatives producing conventional cotton, womens involvement increased from 1 per cent in 2006/07 to 35 per cent in 2010. In the same period, womens representation on the governing bodies of coops increased from zero to 24 per cent. Pilot projects in organic cotton production have seen high levels of participation by women, up to 40 per cent in some areas. A MoBioM guarantee fund of CFA 15m has been set up to provide women with agricultural equipment.

Implementing the programme


Under Oxfams cotton sector programme, the umbrella producers organizations (AOPP, MoBioM, AProCA) have taken on coordination and management roles at the national level. At the local level, they have recruited a network of management and training advisers, with AOPP trainers working at village level and MoBioM trainers at district and village levels. For AOPP, the focus is on building institutional knowledge within co-ops to enable them to work as autonomous private enterprises. For MoBioM, there is a greater focus on direct support to production, as organic production is a key diversification activity. Institutional advice and education on climate change adaptation is also included, but currently only for 20 or so co-operatives, as this is still a pilot phase. In consultation with the village-level SCPCs, the advisers identify at least two members of each co-op to act as promoters, or relay stations for knowledge. These individuals are chosen on criteria such as literacy, analytical ability, and motivation; subsequently they receive training on organizational and management skills.22 Building a network on this basis makes it possible to reach a large number of

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POs at a relatively low cost and also ensures that the system is sustainable over the long term. The programme was designed with a seven-stage plan for implementation. Initially, 215 SCPCs were identified in the programmes intervention zones for conventional cotton production and 60 in organic cotton zones in 2007. By 2009 the total had increased to 453 conventional co-operatives and 73 organic Fair Trade Co-ops. Initially, the co-ops performances, based on a specially designed self-assessment exercise, generally showed a lack of understanding of the Co-operative Law and of the roles and responsibilities of different bodies in the cotton sector, along with a lack of viable economic projects and deficiencies in management and in relationships with financial and technical partners. Based on weaknesses identified during these self-evaluations, the SCPCs drew up development plans each covering a period of three years. Priorities highlighted in their plans were then translated into projects ready for submission to a financial institution. Each co-op established a commission of members (generally up to five individuals) to draft projects with the help of the co-op adviser; these were then submitted for approval to the co-op General Assembly meeting. By the end of 2009, this stage of the process had been completed by 90 per cent of the participating co-operatives. Advisers support co-op promoters (the relay stations) to draw up a business plan and to secure financing for the activities identified in it. They also monitor the performance of co-op administrators and board members as they apply what they have learned to the everyday running of the organization. Before developing new plans, advisers help co-op leaders to evaluate their economic activities against the yearly goals. Each SCPC undertakes a self-evaluation at the end of each exercise to measure its own performance and to inform the next planning stage.23 There have been some challenges in applying this strategy, in particular in the initial identification of implementing partners with sufficient capacity to supply services at the local level. The solution to this was a complementary approach, under which Oxfam chose to support partners with particular competencies and with specific organizational and/or technical skills that would fill the gaps. Each partner in the programme has undertaken to achieve specific results, though the outcomes are evaluated jointly. Another challenge was to ensure the quality of the technical advisers at local level. Among the programmes strengths is the fact that producer groups, in their self-evaluation sessions, identify the services that they need according to their own priorities. This puts them at the centre of the decision-making process, from initial analysis all the way through to implementation. Having identified areas of weakness, they are

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assisted with targeted training based on specific needs by the management and training advisers. They in turn have support from the programmes international NGO partners, who provide technical support to the advisers (first-level training of trainers); the advisers then replicate this training with the co-ops promoters (second-level training of trainers). Finally, the promoters put the training into practice with other co-operative members. This helps to ensure access to quality services at all levels.

Improving womens access to services


A study on gender equity carried out in Malis cotton zone in 200824 showed that the training and advice given to SCPCs have certainly benefited growers but almost exclusively men, who in Mali are traditionally recognized as cotton producers. Women have not benefited from the support structures available to anywhere near the same extent. Women are traditionally excluded from access to and management of land, and few women were recognized members of SCPCs at the start of the programme. Important decisions about the supply of services are taken by co-operatives governing bodies, whose members are almost exclusively men. Women are thus excluded from debate and have no opportunity to assert their rights. In order to increase womens access to services, a gender plan was formulated, with the following objectives: To train a cadre of literacy trainers in the cotton zones; To provide literacy classes to at least 1,000 women in areas where MoBioM and AOPP are active (to date 1,495 women have been trained); To carry out advocacy/lobbying activities to involve women in the SCPCs decision-making bodies; and To facilitate womens access to credit, land title, and agricultural inputs and equipment, through a process of advocacy and negotiation. There is a critical need to strengthen womens literacy skills and to increase their economic power so that they can become full members of the SCPCs decision-making bodies. The management and training advisers, as pillars of the programme structure, have received training to increase their sensitivity to the question of womens engagement. In some localities, women have been supported to establish self-help savings groups, which has enabled them to raise funds for their membership fees. The incorporation of women as full members of co-ops guarantees them services to which they would not otherwise have access. Oxfam and its partners are already engaged in activities aimed at improving literacy to strengthen the capacities of womens

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associations and at promoting gender equity when planning local development. It is necessary to reinforce womens technical skills to increase their chances to get onto co-ops boards as, currently, most key decisions are taken where women are absent.
Box 2. Action plan for increasing womens participation The Gender Pilot Project was developed to ensure greater impact on the lives of women. It aims to build capacity for gender analysis in the cotton sector among actors involved in implementing Oxfams cotton programme. Another objective is to support actors in preparing and implementing training plans for strengthening female membership of their institutions (AOPP, AproCA, MoBioM, and Union Nationale des Societes Cooperatives de Producters de Coton (UNSCPC Mali National Cotton Producers Cooperative Union). Another key outcome that the programme partners would like to see is the strengthening of existing initiatives that support savings and loan schemes self-managed by women. One example of this is Saving For Change, an initiative carried out under Oxfam Americas leadership, which specifically incorporated literacy training into the system of technical assistance with loans. It also supported the AOPP in implementing its action programme for the promotion of womens participation in the cottonproducing region of Sikasso. In 2009, 1,528 women learners, aged between 13 and 61 years old and mothers of 4,742 children, participated in intensive adult literacy sessions REFLECT (Regenerated Freirean Literacy through Empowering Community Techniques). In total 1,429 learners, or 94.17 per cent of attendees, took part in the final level test. The results showed 1,163 women (68 per cent) ranked at level 1, which means that they are now able to read, write, and carry out the four basic arithmetic operations. Another 20 per cent were ranked at level 2, which means that they can read and write, but cannot calculate. The remaining 12 per cent were ranked at level 3, which means that they can read only. During these sessions, women improved their knowledge on topics such as co-operative management, opportunities for economic activity in rural areas, womens access to land, the foundation and management of savings/credit schemes, and the production of organic manure. In Fana (Dioila district), 319 women from six co-operatives worked together to achieve the following: Womens groups in Fantobougou, Djenbenkola, and Yola opened an account with Kafo Jiginew, the MFI managing the programmes guarantee fund. Women in Djen started an adult literacy class. Womens groups in Fantobougou and Yola bought supplies and equipment for their adult literacy classes. A womens group in Yola helped pay for childrens schooling in the village. Women in Yola and Gouana each created their own co-operatives.

Guaranteeing access to finance


The programme has set up a guarantee fund to facilitate access to credit for small producers. Credit for cotton production is

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traditionally guaranteed only via the cotton production system, so the goal of this fund is to facilitate access to finance not guaranteed by cotton, particularly for women producers. It aims to establish a framework of well-trained, capable staff in financial institutions and to foster a relationship of mutual trust between banks and microfinance institutions (MFIs) and producers. The fund is intended to act as a guarantee against default, reassuring financial institutions and encouraging them to lend to farmers. The plan is for co-operatives to gradually build up a collective solidarity fund which will replace the guarantee fund at the end of the programme, thus ensuring ongoing access to finance. By the end of the programme, it is intended that POs and financial institutions will have established permanent partnerships based on a relationship of mutual trust. The challenge lies in strengthening the co-operatives capacities not only in terms of governance and economic management but also in seeking additional markets for non-traditional products. In terms of scaling up, the aim is to seek a leveraging effect by asking Malis leading MFI, Kafo Jiginew, to grant credits for a total amount greater than that of the guarantee fund, which will allow a larger number of beneficiaries to be reached. Currently, Kafo Jiginew has granted four times the value of the fund, which will guarantee credit for up to 300 co-operatives. This alone is still not sufficient, but the results of the initiative will be used to support advocacy work on scaling up targeted at other development agencies and at the government.
Box 3. What the programme has achieved to date At national level, thanks to lobbying activities on specific topics such as cotton pricing, input supply, and literacy programmes targeting women, farmers have obtained subsidies of 50 per cent on fertilizer costs from the government. This has helped to safeguard producers revenue at a time when cotton prices have fallen by 20 per cent. The 215 primary co-ops involved in the programme are implementing their development plans, each focused on 10 major activities, with an investment budget varying from FCFA 52,000 ($105) to FCFA 3m ($6,090). A guarantee fund of FCFA 150m has been set up with Malis leading MFI, Kafo Jiginew, to facilitate their access to credit. The average number of women members of co-operatives has doubled, and in areas where the literacy programme has been conducted, womens membership has increased more than ten-fold. An organic shea butter processing unit and an organic manure production unit employing 40 women have both been set up. In the organic sector, with the support of Comic Relief funding, MoBioM has sold 60 tonnes of cotton to international retailer TK Maxx.

Sustainability and scalability of services


The programmes approach can be described as one of participatory entrepreneurial development. The system of assistance and training

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services it supports is aimed at helping local co-operative societies to become viable and totally self-managed enterprises. For the intervention to be sustainable, however, a number of further steps are required to help strengthen the co-ops: AOPP needs to expand its technical knowledge (either through SNVs advisers or by employing consultants) in order to train its field advisers. Training content is based on needs identified in the self-assessments conducted by co-operatives, and field advisers are trained progressively according to the stage of development a co-op has reached. This method of institutionalizing knowledge is critical to sustainability. Co-operative members should be encouraged to develop a sense of ownership, control, and responsibility for their organizations, by helping them to make decisions in a transparent, democratic, and participatory way. Progressive development of socially useful and economically profitable activities should serve as a basis for self-management and for the acquisition by co-op leaders and members of skills in functional literacy, organization, training, marketing, and credit and enterprise management. Direct relationships need to be established between local cooperative societies and reliable sources of credit in order to finance co-ops activities. Profits from these activities can be used to self-finance other economic activities and social infrastructure or services. Scaling up requires building a strong knowledge-sharing network of POs to enable them to access technology and the information needed to launch and manage competitive economic activities and defend producers rights and interests. The national POs can offer such a platform. At present, the programmes support structure is made up of experienced advisers/trainers with competencies in various aspects of co-operative management. It is planned that this team will gradually withdraw from the day-to-day running of the programme, but AOPP as a national producers organization will seek internal resources (financial and human) to ensure that the services supplied to the co-ops are maintained. Specifically, AOPP will help set up a local structure to continue the work, possibly linked to the communal-level co-operative associations which could finance advisory support, or as an independent service provider. The goal by the end of the programme is to ensure that the co-ops have sufficient knowledge and skills to allow them to evolve further on their own. Key to this is the network of promoters established by the programme; currently, about 1,050 promoters are working with

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the management and training advisers at least two for each of the 453 co-operatives reached by AOPP and the 73 reached by MoBioM. These promoters may also help to strengthen the capacities of other co-ops not currently involved in the programme, in a spill-over effect. To see that happen, funds should be sought from ongoing programmes at national level. The main constraint on the choice of women as co-op promoters is their low literacy levels, although some co-operatives have chosen solely female promoters (for example, the Nianabougou village co-op in the district of Koutiala has appointed two women as promoters). At present, one management and training adviser covers on average 14 co-operatives, which means that, in its current form, the programme is able to reach on average 900 producers per adviser. In terms of outreach, this compares favourably with earlier models.25 The cost of the advisory component of the programme is about FCFA 15,000 ($32) per month per co-operative. This works out at around FCFA 1.50 per kg of cotton produced by a co-operative with an agricultural output of 100 tonnes per year. By comparison, the cost of training traditional extension staff is estimated at about FCFA 5.00 per kg of production. These costs do not include programme management costs in either case. The programme currently involves a total of 453 conventional co-ops, but the long-term ambition is to reach all the conventional cooperatives in Malis cotton sector 7,177 in total. To this end, the programme is developing strategies to influence the decision-making and executive levels of government concerned with providing agricultural services, with the aim of strengthening national-level organizations such as AOPP and MoBioM, and beyond them the national co-ordinating bodies of the 13 member countries of AProCA. In order to ensure expansion, these organizations need to promote this type of intervention as part of a wider national strategy. AOPP alone encompasses 180 farmer organizations and has technical and economic partnerships with seven different donors. For AOPP and the other implementing partners, mechanisms for scaling up the programme include: Influencing the practices of their wider memberships through the development and wider use of tools and approaches promoted by the programme. For instance, AOPP and AProCA are currently seeking to generalize use of the self-evaluation tool across all their member bodies. Advocacy for replication of the approach by other development organizations, both private and public. It is hoped that such organizations will be inspired by the lessons of the programme and will replicate it to reach a larger number of POs.

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In summary, producers umbrella organizations are the ideal coordinating bodies through which finance can be made available to small producers at a lower cost. They allow service provision to be centralized, permitting economies of scale in services provided to producers. However, it is essential that these bodies are well organized and institutionally solid, so as to guarantee efficient access to services. In addition, scaling up will require other, additional costs that cannot be precisely determined in advance.

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Note
1

Fairtrade Foundation. http://www.fairtrade.org.uk/producers/cotton/dougourakoroni_cotton_produc ers.aspx. Accessed 19 January 2010.


2 3

Ibid.

M.S. Keta et al. (2002) Organisation de la filire cotonnire du Mali: Acteurs, fonctionnement et modes de coordination, Rapport provisoire (Organisation of the Cotton Production and Marketing System in Mali: Actors, functioning and modes of coordination, Preliminary Report), RESOCOT-Mali. In 2006 it was estimated that cotton provided an annual cash income of $280 per family.
4

Mali: Cadre Stratgique pour la Croissance et la Rduction de la Pauvret, November 2006. At that time, $1 = FCFA 477.40.
5 6

Fairtrade Foundation, op. cit.

CMDT owns all of the 17 ginning factories in Malis cotton-growing zone, and gins and markets all the seed cotton grown. The Government of Mali has a 95 per cent shareholding in the organization, with the remainder held by French company Dagris (Dveloppement des agricultures du Sud, formerly CFDT).
7 8

M.S. Keta et al. (2002) op. cit.

S. Baden, Oxfam proposal document for Programme Empowering Producers to Secure Livelihoods in Cotton Growing Regions in Mali and West Africa, based on studies carried out during the Make Trade Fair campaign.
9

Rapport dfinitif, Appui pour le renforcement des capacits des producteurs (Final Report, Support for the Strengthening of Producers Capacities), AGROTEC-SPA Rome, June 2002. CMDT agents worked closely with farmers groups, giving technical advice, delivering inputs, weighing and grading cotton at village level, and recovering credit.
10

The total number of producers in 1999 was 157,877. CMDT data, 1999 Annual Report.
11

Observatory of Sustainable Human Development (ODHD) (2009) Contribution of Cotton to Malis Economic Growth, June 2009.
12

Programme dAppui aux Services Agricoles et aux Organisations de Producteurs.


13 14 15

Document from the Evaluation of PASAOP. Programme dAppui aux Systmes dExploitation en Zones Cotonnires.

Association des Organisations Professionnelles Paysannes de Mali. AOPP is a federation with a membership of over 180 farmers organizations, in other sectors as well as the cotton sector.
16 17

http://www.snvworld.org/en/countries/mali/Pages/default.aspx

Mouvement Biologique Malien. MoBioM is an association of village cooperatives, currently with 73 member organizations, whose members grow cotton and other crops such as mangoes. http://mobiom.org/

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14

18

http://www.helvetas.org/wEnglish/organic_cotton/info_mali.asp?navtext=H elvetas Projects


19

Association de Producteurs de Coton Africains. AProCA was formed in December 2004 to defend the interests of African cotton producers internationally, in the wake of the 2002 cotton case at the WTO. It currently has 15 member countries and a permanent secretariat in Bamako. http://www.aproca.net/
20 21

http://www.endadiapol.org/

Kafo Jiginew is a Malian micro-finance institution (MFI). Its mission is to offer financial services adapted to the needs of low-income populations, particularly women, who do not have access to formal financial institutions, and help them to develop their income-generating activities. www.kafojiginew.net
22

AOPP (2008) Capitalisation du processus de slection des coopratives beneficiaries (Capitalisation of the Process of Selection of Beneficiary Cooperatives), May 2008.
23

Mission Report of the Monitoring/Evaluation of the Programme, 23 March 4 April 2009.


24

Bintou Nimaga, Etude pour la mise en oeuvre dun projet pilote genre, (Study for the Implementation of a Gender Pilot Project), Oxfam Cotton Programme, April 2008.
25

Report of the programmes baseline study, CERCAD, September 2008. According to the initial reference study, a co-operative has on average 68 producer members.

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Oxfam GB, April 2011 This paper was written by Aboubacar Traore and Abdoulaye Dia. We acknowledge the assistance of Sally Baden, Emma Donne, Claire Harvey, Abigail Humphries Robertson, David Wilson, and Kirsty Wilson in its production. It is part of a series of papers written to inform public debate on development and humanitarian policy issues. The text may be freely used for the purposes of campaigning, education, and research, provided that the source is acknowledged in full. For further information please email atraore@oxfam.org.uk or go to http://publications@oxfam.org.uk ISBN 978-1-84814-848-2. This paper is part of a set Small Farmers, Big Change: Achieving scale in the development of smallholder agriculture. This paper is also available in French.

Oxfam GB
Oxfam GB is a development, relief, and campaigning organization that works with others to find lasting solutions to poverty and suffering around the world. Oxfam GB is a member of Oxfam International. Oxfam House John Smith Drive Cowley Oxford OX4 2JY Tel: +44.(0)1865.473727 E-mail: enquiries@oxfam.org.uk www.oxfam.org.uk

8. Effective Co-operation, Programme Insights, Oxfam GB. January, 2010

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